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Essay's paper info
| Topic: |
Business
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| Number of pages / Number of words: |
229 / 63930 |
Essay's paper body
So you advanced two quarter so market is going to try and measure how much that is. |
| |
|But on the flip side, the market will also focus. I heard you earlier talk about its time to be counterintuitive and do |
|different things and to me that different thing is not about further reduction and repo cut – yes go ahead and do it...
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But you |
|have a system which is static; there is inertia there, nobody is lending to anybody. So the way to spark that off is actually be|
|counterintuitive and cut reverse repo rates. It completely discourages banks from stacking balances with Reserve Bank of India. |
| |
|The market will look for two things; liquidity and the credit in the system is that likely to improve because if that continues |
|to be difficult then it’s going to be difficult for the market to say how long this agony is going to be and second as we |
|advance bad news story to the current and the next quarter, market will want to see how bad is that bad news...
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